[News] DRAM Rally Lifts Nanya Tech’s 2Q Gross Margin to Nearly 80%, Closing in on Global Memory Leaders

The ongoing phase-out of legacy DRAM capacity by major memory manufacturers has tightened supply and lifted pricing, positioning Taiwan’s Nanya Technology among the biggest beneficiaries. Citing Liberty Times, the company reported a second-quarter gross margin of 79.5%, as average DRAM selling prices rose more than 60% from the previous quarter.

The strong pricing environment lifted Nanya Tech’s profitability metrics to levels rarely seen among memory suppliers. Its second-quarter gross margin of 79.5% even surpassed foundry titan TSMC’s guidance of 65.5% to 67.5% for the same period, while operating margin climbed to 73.7%, Liberty Times notes.

By comparison, U.S. memory giant Micron reported record gross and operating margins of 84.9% and 81.2%, respectively, in the third quarter of fiscal 2026.

According to Commercial Times and Liberty Times, Nanya Technology posted a sharp rebound in the second quarter, as revenue jumped 68.2% sequentially to NT$82.55 billion and net profit surged 92.6% to NT$50.19 billion, yielding EPS of NT$14.66.

Memory Shortage Expected to Last Several Quarters

Notably, Nanya Technology is emerging as a player in the AI memory market, with AI infrastructure and server-related products contributing more than 20% of first-half revenue, according to Liberty Times. The company is also expanding its reach across multiple applications with a comprehensive DRAM portfolio, including DDR5, LPDDR5/5X, DDR4, LPDDR4/4X, DDR3 and LPDDR3.

Looking ahead, Yahoo! Finance, citing Nanya Tech President Pei-Ing Lee, reports that as rising demand for HBM and RDIMM from AI and general-purpose cloud servers keeps tightening supply for smartphones, PCs, automotive and consumer electronics, the memory shortage is expected to persist for several more quarters, with multi-year long-term agreements (LTAs) increasingly becoming the industry norm.

On the capacity front, Next Apple reports that Nanya Tech plans to ramp up its new fab in phases, with the first stage targeting monthly wafer starts of 30,000 units by 2028 and full capacity reaching 45,000 wafers per month. Meanwhile, development of its third-, fourth- and fifth-generation 10nm-class process technologies (1C/1D/1E), along with EUV-related research, is progressing as planned, the report adds.

Read more

• [News] Nanya Tech Reportedly Sees Double-Digit DRAM Price Gains in Q2, with Multiple Partnerships in Discussion
• [News] NAND Leaders Bet on Taiwan’s DRAM Maker: Why Kioxia, SanDisk, SK hynix Back Nanya Tech’s $2.5B Deal?

(Photo credit: Nanya Technology)